Oregon LNG proposes to build, own and operate a liquefied natural gas peak-shaving, liquefaction, and export facility near the mouth of the Columbia River, on the Skipanon Peninsula in Warrenton, Oregon. The project site has for many years been intended for use by heavy, marine-dependent industries, leveraging the lower Columbia River’s status as the best and least constrained port location in Oregon.
The Oregon LNG project’s design includes a marine loading terminal, two full-containment 160,000 cubic meter LNG storage tanks, and facilities to support ship berthing and cargo loading.
The project is ideally sited to export LNG to Asian markets, where demand is quickly growing, with strong prospects that it will continue. The vast majority of fuel used for power generation in most Asian countries is coal and low quality oil. By providing access to clean burning natural gas, Oregon LNG will help dramatically reduce global CO2 as well as local emissions in some of the most polluted areas in the world.
The Chinese government announced in October 2013 that it would give rewards amounting to more than $800 million for reducing air pollution in six regions in the north. In September the government unveiled a plan to reduce air pollution nationwide by putting limits on coal burning and taking high-polluting vehicles off the roads on certain days. This trend is replicated in other Asian countries and will continue to drive demand for clean North American natural gas exports.
Oregon LNG can tap into already existing pipelines from Western Canada and the Rocky Mountain region to efficiently serve global customers. Recent studies have shown that there are hundreds of years of gas supply in western Canada alone so selling this gas will not significantly increase prices for North American consumers.
Oregon LNG’s innovative design, added to its ability to integrate regional renewable energy sources, makes it the cleanest LNG project currently under development. Most other projects require the construction of an associated gas-fired power plant. Oregon LNG can tap into the PNW grid, which is dominated by hydro-electric and wind energy. This along with other innovative design features will make Oregon LNG one of the cleanest and most efficient LNG production plants in the world.
Upon completion, expected in 2019, the terminal will operate as a tolling facility, leasing peak-shaving and liquefaction capacity to industry partners. Oregon Pipeline, an affiliated company, is planning the construction of an 87-mile pipeline, which will connect to the regional pipeline in Woodland, Washington.
LNG stands for liquefied natural gas. Essentially, LNG is the same natural gas more than 64 million Americans use to heat and cool their homes, heat their water, prepare their food, and dry their clothes, only in a liquid state. LNG natural gas that is super-cooled until it becomes a liquid (approximately -260° F at ambient air pressure). Liquefaction reduces the volume of natural gas by approximately 600 times, making it economically feasible to transport across oceans in specially designed ships. Once at its destination, LNG is converted back to its gas state by passing the liquid through vaporizers that warm it to approximately 35° F.
Liquefied natural gas cannot explode or burn. That is a scientific impossibility. If accidentally released into the air or over water, an extremely rare occurrence, the super-cold LNG vaporizes to become ordinary natural gas almost immediately and quickly dissipates. LNG has been part of the U.S. energy mix since the 1940s and has been exported in tankers for 45 years. LNG exports from the U.S. have caused no loss of life, land-based property damage or environmental damage in that period.
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